Gov wrong on LIPA

In a time when accountability and oversight need to be strengthened, not weakened, I’m disappointed that Gov. Paterson vetoed a proposed law that would have prevented the Long Island Power Authority from imposing large rate increases without a state review process.

LIPA has raised rates seven times since 2001, increasing more than 34 percent without ever going before the Public Service Commission as required in the agreement authorizing LIPA to issue debt.

Equally troubling is that LIPA “imposes extremely high fuel surcharges and in many cases, these charges exceed homeowners’ actual electric bills. I find this unconscionable. This practice should lead to more scrutiny of LIPA, not less.

In the governor’s veto message he claims this oversight “could actually increase costs for LIPA’s customers and possibly other utility customers.” I fail to see his reasoning, but regardless, LIPA’s most recent rate increase of 3 percent is a perfect example of why we need this law. That decision should have been subject to a public review to prove whether the increase was justified.

LIPA ratepayers deserve to know why their rates are being raised, and this law would have protected both homeowners and businesses from unfair rate hikes.

One comment

I agree.More or even some preasure should be put on Gov.Paterson.For I fear we will have the highest rates in the
nation with no one left to pay then.People can no longer afford to pay these rates.Without affordable power on Long island businesses and familys will not stay here.The exitus is
already in full full swing.Someone needs to step up and “do”
something.
Stan Lizak.